S&P 500 rejects SpaceX, also blocking entry for OpenAI and Anthropic • Hacker News Board

Re: S&P 500 rejects SpaceX, also blocking entry for OpenAI and Anthropic

#381

Post by MagicMoonlight » Sat, Jun 06, 2026, 4:06 PM UTC

anonu wrote: post #272

zhivota wrote: post #30

Big relief for me. As a passive investor, I want the indices to follow the same passive strategy they always have, and specifically not make exceptions for specific companies like SpaceX wanted. Plenty of ways to get exposure to that stock without it going into the indices it is not qualified for.

You'll eventually get exposure to it when it gets added in 12 months. Unless there are better profitability criteria. Ultimately it's all about market returns. If other indexes add it and outperform then eventually money will shift to those funds that do better.

Yeah but the point is, after 12 months we’ll know the real price. Right now it’s just a ponzi.

Re: S&P 500 rejects SpaceX, also blocking entry for OpenAI and Anthropic

#382

Post by calvinmorrison » Sat, Jun 06, 2026, 4:06 PM UTC

dotwaffle wrote: post #365

calvinmorrison wrote: post #355

Earlier quoted context omitted.

By AI i assume you mean Actually Indians, seeing as we have allowed our CPA firms to outsource so much work overseas they already are gaps day to day. The average accounting office of 4 or 5 people is no more. There's no AP Clerk, no AR, No Payroll, its all automated and you've got some boomers hanging on as CFOs steering the ship. Sad stuff.

I genuinely worked somewhere that used the term API to mean "a person in India". The same company had someone order me not to use the term "postmortem" as part of the SRE function. I did not stay long after that.

the AICPA... now the Association of International Certified Professional Accountants. Yup

Re: S&P 500 rejects SpaceX, also blocking entry for OpenAI and Anthropic

#383

Post by psychoslave » Sat, Jun 06, 2026, 4:07 PM UTC

groundzeros2015 wrote: post #328

psychoslave wrote: post #314

Earlier quoted context omitted.

How is that incompatible?

I think making money usually helps people. But it does affect every decision you make. When you’re investing you look at financial criteria. When you’re donating you look at social criteria. The whole “VC in non-profit” thing was a trend from 2012 to 2017 or so and it did not work out for this reason.

How do you distinguish social from financial here? Isn't finance just a loose way to quantify social considerations?

Re: S&P 500 rejects SpaceX, also blocking entry for OpenAI and Anthropic

#384

Post by blondie9x » Sat, Jun 06, 2026, 4:07 PM UTC

Everyone watch out for other indices like CRSP US Total Market Index, which trade as the ETF VTI and mutual fund VTSAX.

There are countless other indices that are not well known to request seasoning time of these mega companies.

Shifting to S&P 500 seems prudent at the point. Besides S&P does anyone know which indices will be safe from these IPOs?

Re: S&P 500 rejects SpaceX, also blocking entry for OpenAI and Anthropic

#385

Post by floatingtorch » Sat, Jun 06, 2026, 4:09 PM UTC

outside1234 wrote: post #302

cj wrote: post #224

Earlier quoted context omitted.

If big tech ends up seeing a 40-50% draw down in the next 2-3 years, what ETF is best equipped to limit the blast radius?

Probably an international fund like VEA that is much more diversified.

[dead]

Re: S&P 500 rejects SpaceX, also blocking entry for OpenAI and Anthropic

#386

Post by rdiddly » Sat, Jun 06, 2026, 4:17 PM UTC

Anyone care to explain to me why any of them even considered it? What's the specific upside from the perspective of an index provider? Seems to me like all it does when you bend the rules is erode trust, so whatever the upside is, it must be pretty significant since it comes at such a high cost to the credibility and trust placed in the applicable index and the market itself.

Re: S&P 500 rejects SpaceX, also blocking entry for OpenAI and Anthropic

#387

Post by tim333 » Sat, Jun 06, 2026, 4:22 PM UTC

mattbrewsbytes wrote: post #274

Letting new stocks marinate in the market and get 4 quarters of SEC filings along with following all the GAAP accounting practices will definitely help evaluate them before inclusion. The last large boom/bust cycle had a couple of companies, at least, that were doing illegal things. I'm not stating that these three are, just that nobody knows and the process should play out. I do wonder if any of these three companie…

These things get checked pretty carefully by humans. They can get sued for fraud. But some of the future estimates can be swayed by hallucinations, both AI and Elon Musk etc.

You can also game things a bit like Anthropic is showing better figures just now due to an introductory discount on getting compute from xAI. Those tend to fade out with time.

Re: S&P 500 rejects SpaceX, also blocking entry for OpenAI and Anthropic

#388

Post by altairprime » Sat, Jun 06, 2026, 4:24 PM UTC

ls612 wrote: post #372

reilly3000 wrote: post #362

Earlier quoted context omitted.

What happens if the auditors use software that consumes the model provider they are auditing? Seems like an obvious conflict of interest for the model, no? I think that’s not how that works today, but I’m sure that it could and will one day.

How is this any different than Microsoft? I suspect all of the big four use AD and Windows in their enterprise yet that isn’t a dealbreaker for auditing MS’ financials.

Neither Active Directory nor the Windows desktop operating system are a primary factor in accounting with respect to a bigcorp. They can have some secondary compliance-type effects on e.g. network backups and policy enforcement, but are not a primary threat to GAAP eligibility for the S&P500 like generative AI is.

Re: S&P 500 rejects SpaceX, also blocking entry for OpenAI and Anthropic

#389

Post by balls187 » Sat, Jun 06, 2026, 4:28 PM UTC

wg0 wrote: post #63

This is very smart of these folks because for just three companies, they can't ruin the trust and impeccable reputation they have built over the years. This decision alone is worth several trillion dollars.

It had nothing to do with smarts. They held a public comment about the changes and responded accordingly.

Re: S&P 500 rejects SpaceX, also blocking entry for OpenAI and Anthropic

#390

Post by tim333 » Sat, Jun 06, 2026, 4:30 PM UTC

rdiddly wrote: post #386

Anyone care to explain to me why any of them even considered it? What's the specific upside from the perspective of an index provider? Seems to me like all it does when you bend the rules is erode trust, so whatever the upside is, it must be pretty significant since it comes at such a high cost to the credibility and trust placed in the applicable index and the market itself.

SpaceX got NASDAQ to change their rules so I guess people thought S&P might be similar. NASDAQ probably did it because they make money by the listing going to them rather than the NYSE.